Comment #109

From: EWKnell@aol.com
To: HQ.HQ02(FRANPR)
Date: 9/26/97 2:25pm
Subject: 16 CFR Part 436 Comment

Franchisors should be required to provide financial performance data based on existing franchise in operation and the basis thereof in the UFOC document.

Alternately, it could be provided upon separate request subject to confidentiality and represented as accurate, but not necesarily a guaranteed projection of a potential franchisee's profitability with a disclaimer to the effect that depends on the potential franchisee's ability and loaction he or she picks. etc.

Having looked at a few franchise opportunities so far, this data is hard to obtain. Franchiosrs usually say they are prohibited from giving it by FTC rules; really it is optional, but they do not say that. One must rely excessively on verbal information from existing franchisees who are not willing to divulge their personal finances to someone they hardly know.

Everett W. Knell